Health system executives have been talking about innovation for years – until it almost became a meaningless word. Some systems set up innovation departments and appointed leaders while others designed a cultural doctrine for innovation to permeate throughout the organization.
These efforts achieved a varying degree of success, with some systems riding the cutting-edge of clinical and business transformation, trying new technologies and “succeeding or failing fast” before moving on to the next project. Others called themselves “innovative” but nothing really changed; they could stay comfortable with legacy systems and operations, avoiding disruption while staying financially stable.
That may not be possible much longer.
“Innovation in the age of uncertainty isn’t just a buzzword – it’s a necessity,” said James Dover, president and CEO of Sioux Falls, S.D.-based Avera Health. “As healthcare finances are threatened by private and public funding reductions and nonprofit healthcare is under increasing pressure, we must also lean into technologies like artificial intelligence and telehealth, and new ways to develop workforce to ensure rural and underserved communities aren’t left behind.”
Rural healthcare is faced with big challenges, as many hospitals operating on thin margins heading into the pandemic haven’t been able to invest in digital technology, falling further behind. Now, faced with Medicaid and public health funding cuts, many rural hospitals are looking for creative partnerships and solutions to stay afloat.
“The future of high quality, equitable healthcare depends on our ability to adapt, collaborate and innovate to provide care to our patients and communities,” said Mr. Dover.
Rick Carrico, CFO of Baptist Health in Kentucky and Indiana, sees innovative technology as a catalyst to reshape care delivery for further patient connection. He is strategically investing in people and technologies to expand the provider network, open new facilities and improve digital tools for better access to care.
“We’ve seen continued growth across all our digital health offerings, including virtual visits and tools like Care Finder, which shows that patients value convenience and are increasingly making these resources part of their routine care,” said Mr. Carrico. “By simplifying steps such as appointment scheduling and offering hybrid care models, we’re making it easier for individuals to manage their health on their terms. Our focus remains on creating a more seamless, personalized experience across every touchpoint.”
Mayo Clinic Platform has been on the leading edge of innovation for years, accelerating advancements in digital transformation and AI during the pandemic. For Maneesh Goyal, COO of Mayo Clinic Platform, the billion-dollar question is also: “Who can turn innovation into real-world impact at scale and at the point of care?”
“The health tech space is overflowing with brilliant ideas. But only a small fraction of these ideas actually makes it into clinical workflows, impacts outcomes and scales across healthcare systems,” he said. “The real challenge is to bridge the gap between innovation and implementation. Turning ideas into better patient care and better outcomes at scale is the billion-dollar challenge.”
Purchasing new technology isn’t always easy. The tech is often costly and doesn’t always deliver on the clear return on investment promised.
“Healthcare executives face pressure to adopt AI and digital innovations with rigorous oversight to avoid overinvestment or public backlash,” said Wayne Gillis, president and CEO of Rehoboth McKinley Christian Health Care Services. “Successful integration requires clear goals, managing expectations and aligning technology deployment with actual improvements in efficiency and outcomes.”
